The 10-year Treasury note lost 19/32 in price on the day, boosting its yield to 1.751%, while the 30-year bond fell by 32/32 to yield 2.922%, per Tradeweb data.

“In looking back on Tuesday’s session following the closing bell we must admit trading activity was far more eventful than we expected,” writes Adrian Miller of GMP Securities. ”[T]he bond market also came under pressure due to a combination of expectations of an Obama win and a rally in equities. While some may attribute additional weakness to a soft 3-yr auction, we would characterize the auction as receiving satisfactory demand despite the fall off in the aggregate bid-to-cover as non-dealer demand held above its 6-auction average.”

The Treasury sold $32 billion 3-year notes at a yield of 0.392% Tuesday afternoon, and Miller notes that aggregate demand cooled compared to the prior auction as the bid-to-cover ratio fell to 3.41x vs 3.96x in October and vs the 6-auction average of 3.69x.